Answer the Following Questions Using the Information Below:
Zitrik Corporation

question 89

Multiple Choice

Answer the following questions using the information below:
Zitrik Corporation manufactured 100,000 buckets during February. The variable overhead cost-allocation base is $5.00 per machine-hour. The following variable overhead data pertain to February:
$\begin{array}{lrr}&\text { Actual } &\text { Budgeted }\\\text { Production } & 90,000 \text { units } & 90,000 \text { units } \\\text { Machine-hours } & 9,800 \text { hours } & 9,000 \text { hours } \\\text { Variable overhead cost per machine-hour } & \$ 5.15 & \$ 5.05\end{array}$
-What is the variable overhead efficiency variance?

• A) $4,040 unfavorable
• B) $4,120 favorable
• C) $4,040 favorable
• D) $4,120 unfavorable.

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